Herfy food Services Company signed a contract with EatRite Food Services Company for the commercial franchise rights to open 50 Herfy restaurants in Nigeria.
The agreement holds a duration of 10 years from the date of signing the contract on 24 November 2021, according to a bourse filing on Wednesday.
The contract value is $300,000 in addition to the annual franchise revenue and opening fees of the facilities. Herfy plans to launch five restaurants every year.
The listed Saudi company is expected to witness a positive financial impact on the income statements of the fourth quarter (Q4) of 2021.
Herfy previously extended its non-binding memorandum of understanding (MoU) with EatRite, after it had announced its plans to expand to Nigeria last March.